The Nigerian Stock Exchange (NSE), on Wednesday, listed by introduction, Beco Petroleum Products Plc’s 3.72 billion Ordinary Shares of 50 kobo each at N2.50 per share; thereby increasing the number of quoted First-Tier equities to 197.

Listing by introduction means that investors can only buy the company’s stock through their stockbrokers at the stock market.

Lance Elakama, the NSE’s Assistant Director General, who declared the listing, said the coming of the new company to the petroleum marketing subsector of the Exchange is expected to boost investors’ confidence in the market because “the subsector has been showing signs of improvement”.

Ogala Osoka, Beco Petroleum’s Chairman, said that he believes the stock will perform well in the market because “since the company transformed into a public liability company in 2008, after a private placement outing, its assets of N425.9 million has increased to N4.043 billion.”

Mr. Osoka said the company, which was founded in 1986 with one million shares of N1 each, currently has a share capital of 6.52 billion units of 50 kobo each and hopes to raise from the capital market, its targeted 3.72 billion units of 50 kobo each at N2.50 per share.

The chairman noted that the global economic condition has affected the company’s expansion programme, adding, “Achieving long term sustainable growth of the company remains the objective.”

Olu Odejimi, the spokesperson for stockbrokers, who is also the Chief Executive Officer of Clearview Investment Ltd, has given assurance to the management o f the company of their support in attracting investors to the stock.

Mr. Odejimi said that Beco Petroleum’s historical figures and projected turnover for the next three years ares promising.

Henry Mojekwu, Managing Director of Beco Petroleum, said, “The company came to the market to achieve its vision to be one of the foremost integrated players in the marine, oil and gas sectors of the Nigerian economy.”

He explained that the additional fund will help the company increase its current 15 service stations to about 200 stations. Mr. Mojekwu said that the company is developing a petroleum products tank farm with 96,000 metric tonnes, and currently owns and operates two marine tankers with a combined tonnage of 13,000DWT. “Beco Petroleum also plans to construct a gas plant in the future project,” he added.

Market close lower

Meanwhile, at the close of stock trading on Wednesday, about N15 billion was lost. The NSE’s market capitalisation and All-Share index dropped, each, by 0.28 per cent.

The market capitalisation closed at N5.349 trillion down from the N5.364 trillion it closed at on Tuesday, while the All-Share Index closed at 22,968.21 units from 23,071.66 units it recorded the previous day.

A total of 790.680 million quantities of stocks were traded, worth N5.408 billion in a record of 8,483 deals. Also, a total of 43 stocks appreciated in price while 36 stocks depreciated at the close of the day’s trading.

The banking sub-sector maintained its lead on the most active sub-sectors’ chart while the insurance and information communication/telecommunication sub-sectors followed.